MQ Market Updates - 20 April 2023

MQ Trader

Publish date: Thu, 20 Apr 2023, 05:11 PM

LPI Capital Bhd's net profit rose 13.7 per cent to RM73.83 million for the first quarter (Q1) ended March 31, 2023 (FY23) compared to RM64.90 million a year ago. According to the company's filing to Bursa Malaysia today, revenue for the quarter increased to RM463.30 million from RM416.09 million. As a result, the investment holding company registered higher earnings per share of 18.53 sen against 16.29 sen a year ago. (NST)

OxPay Financial Ltd has announced a non–binding strategic collaboration between OxPay SG Pte Ltd and CIMB Bank Bhd's Singapore branch to enhance digital payment solutions. The agreement aims to boost CIMB Bank's merchant services for card transactions via card networks such as Visa and Mastercard while strengthening OxPay's footprint in Singapore as the exclusive payment gateway and offering services solely to CIMB Bank. (NST)

MKH Oil Palm (East Kalimantan) Bhd (MKHOP) is offering up to 250.7 million shares in an initial public offering (IPO) as it seeks to list on Bursa Malaysia’s Main Market, according to its prospectus exposure published on the Securities Commission Malaysia website on Tuesday (April 18). The 250.7 million shares — 24.5% of its enlarged issued share capital of 1.023 billion — comprise 220 million new shares and an offer for sale of 30.7 million existing shares. The issue price as well as the opening and closing dates of the IPO have yet to be fixed. (TheEdge)

Apex Securities has derived a target price of 59 sen for Autocount Dotcom Bhd (ADB), based on 17 times PER of Autocount’s FY2024F EPS of 3.5 sen, which is at a 15% premium to its peers’ forward PER of 15 times. In a note on Thursday (April 20), the research house said that the premium is warranted mainly due to the larger market share and better brand reputation of ADB compared to its peers. (TheEdge)

Private equity firm Creador has acquired a 14.7 per cent equity interest in CTOS Digital Bhd (CTOS) for RM1.35 per share. Creador said in a statement today that the acquisition was made via a rollover of its investment from Creador II, its second fund, to its fifth fund, Creador V, which was launched in July 2021. (NST)

Borneo Oil Bhd (BornOil) has appointed the Wah Kong Corporation (WKC) as the official distributor for its Sabasco hot sauces throughout West Malaysia. The partnership was recently finalised by BornOil subsidiary SB Supplies and Logistics Sdn Bhd (SBS) and WKC subsidiary Momentum Strike Sdn Bhd (MSSB). SBS general manager Sri Ganesh Balasubramaniam represented BornOil at the signing of the agreement, while MSSB business manager Wing Yee Tin represented WKC. (NST)

Datasonic Group Bhd has handed over RM2 million in business zakat to the Federal Territory Islamic Religious Council's zakat collection centre (PPZ-MAIWP) for 2022. Datasonic executive chairman Datuk Hanifah Noordin said whether the company can maintain or increase the value of zakat next year relied on business development. (NST)

Boustead Holdings Bhd shares surged more than 30 per cent or 20 sen to close at 85.5 sen on March 3, one day after the Armed Forces Fund Board (LTAT) made an offer to take over the conglomerate. The closing price matched LTAT's offer price on March 2 to buy the remaining 822.51 million Boustead shares or 40.58 per cent stake it does not own at 85.5 sen apiece or a cumulative RM703.25 million. (NST)

UOA Real Estate Investment Trust (REIT) will remain focused on the office property market as it sees growing potential in the segment, according to Kong Sze Choon, chief executive officer of its manager UOA Asset Management Sdn Bhd. “I think I always believe in doing what we are doing best. We are aware that some of our fellow REITs are diversifying into different asset class. (TheEdge)

KSK Land Sdn Bhd has terminated its contract with Grand Dynamic Builders Sdn Bhd (GDBSB), a wholly owned subsidiary of GDB Holdings Bhd, as the main contractor of mixed development 8 Conlay at Jalan Conlay, Kuala Lumpur. Following the termination, KSK Land has been in discussion with a new potential main contractor to replace GDBSB. Conlay Construction Sdn Bhd has formally submitted an offer to project owner and wholly owned subsidiary of KSK Land, Damai City Sdn Bhd (DCSB). (TheEdge)

Shares of Salutica Bhd were extending loss in morning trade, falling as much 27% to an intra-day low of 91.5 sen, erasing more than half of its steep gains since beginning of April, following the announcement of trial dates in relation to a legal battle with Apple Malaysia Sdn Bhd. As at market break, the stock pared losses to trade at 94 sen, down 22 sen or 19%, being the fourth largest loser across all Bursa securities while ranking the fourth most actively traded counter on Thursday (April 20). (TheEdge)

Dayang Enterprise Holdings Bhd (DESB) is cautiously optimistic that the outlook for the financial year ending Dec 31, 2023 (FY23) will be good with improving economic activities locally and internationally. Group managing director Tengku Datuk Yusof Tengku Ahmad Shahruddin said there is the potential for new tenders to come in for maintenance, construction, modification and hook-up and commissioning contracts which will keep the group’s operations busy. (TheStar)

Despite the earnings miss, RHB Research maintains its earnings forecasts for Axis Real Estate Investment Trust (Axis REIT), as the firm expects the latter's performance to improve from a possible reversal of the provision, the lack of one-off expenses, and income contributions from new acquisitions. The bank-backed research firm noted that Axis REIT's first quarter (Q1) 2023 results were below expectations due to increased one-off expenses. (NST)

PublicInvest Research has maintained its “underperform” rating on Top Glove Corp Bhd at RM1.03 with an unchanged target price (TP) of 62 sen and said it continues to be cautious of the group’s overall outlook in 2023. In a note on Thursday (April 20), the research house said although Top Glove has raised average selling price (ASP) in March, it is still insufficient to cover total cost to enable it to achieve breakeven level in the coming quarters. (TheEdge)

Source: New Straits Times, The Edge Markets, The Star 20 Apr 2023